Mifos System: Main Functionalities
Mifos X is an open-source core banking software platform focused on financial inclusion: it provides financial services (savings, loans, client management, accounting, etc.) for institutions that serve unbanked populations or those with limited access to financial services.
System features
Below are the main functional areas and the actions supported by each one.
Manage data tables
This feature allows managing custom tables and fields for different system objects.
Supported actions
- Create custom data tables
- Add custom fields to:
- Clients
- Loans
- Savings
- Groups
- Centers
- Offices
- Available data types: String, Number, Decimal, Date, Text, Dropdown
- Define required/optional fields
- Multi-row option (allow multiple instances per entity)
- Edit data tables
- Delete data tables
- Configure maximum field length
Audit trails
In this section, the user can review the history and details of actions performed in the system.
Logged information
- View history of all system actions
- Who did what?
- When was it done?
- From which IP
- Data changes
- Available filters: by user, date, action
Manage codes
Codes are dropdown lists and catalogs used by the system to classify information.
Supported actions
- View predefined system codes
- Create custom codes (dropdown lists)
- Edit code values
- Create codes for categories such as:
- Client type
- Gender
- Marital status
- Occupation
- Education level
- Identification type
- Loan purpose
- Collateral type
- Group roles
- Sort dropdown values
Reports, roles, and permissions management
This area covers report creation and management, as well as administration of roles and permissions.
Reports
- Create custom reports
- Pentaho reports
- Custom SQL reports
- Report parameters
- Export reports (PDF, Excel, CSV)
Roles and permissions
- Create roles
- Edit roles
- Delete roles
- Assign granular permissions per action (read, create, update, delete, approve, disburse, among others)
- Permissions by module (clients, loans, savings, accounting, etc.)
- View assigned permissions per role
Other Mifos X system features include
1. Manage Scheduled Jobs
- View scheduled jobs
- Run jobs manually
- Configure execution frequency
- Typical jobs: interest calculation, provisioning, update inactive accounts, send SMS, automated reports, etc.
- Execution history
2. Configure Maker/Checker Tasks
- Enable/disable maker-checker per transaction
- Define which actions require approval
- Configure approval workflow
- Separation of duties (maker creates, checker approves)
3. Global Configurations
- Enable/disable maker-checker globally
- Allow transactions on non-business days
- Reschedule payments on holidays
- Configure rescheduling rules
- Other system configurations
4. Manage Hooks
- Create webhooks
- Integration with external systems
- Events that trigger hooks
- Target URLs
- Payload configuration
5. Account Number Preferences
- Client account number format
- Loan account number format
- Savings account number format
- Prefixes and suffixes
- Number length
6. Entity-to-Entity Mapping
- Map products to specific offices
- Map charges to offices
- Restrict product availability by location
7. Manage Surveys
- Create surveys
- Survey questions
- Assign surveys to clients
8. Manage External Events
- Configure external events
- Integrations with other systems
9. External Services
- Configure third-party services
- Integration with SMS gateways
- Integration with email services
- Amazon S3 for storage
- Other external integrations
10. Two-Factor Authentication
- Enable 2FA
- Configure authentication methods
- Security policies
Mifos X can be installed on Linux or Windows servers, although Linux is recommended for stability and performance. Basic requirements include:
- Java JDK (generally version 11 or higher)
- Application server (such as Apache Tomcat)
- MySQL or MariaDB database
- 8–16 GB of RAM as a starting point for production
- A reliable internet connection (especially if there will be external integrations or remote access)
Additionally, Pentaho or other SQL tools are often required for report management. For production environments, load balancing, automated backups, and server monitoring are also recommended.
It depends on the size and complexity of the institution, but three phases can be considered:
- Initial configuration (1–4 weeks): definition of financial products, codes, permissions, and initial data migration.
- Testing and pilot (2–8 weeks): user training, report testing, and process validation.
- Go-live (1–3 weeks): bulk data upload, final adjustments, and deployment.
In total, projects typically take between 2 and 4 months, although in large institutions with complex migrations, this can extend to 6 months or more.
Some common challenges include:
- Data migration: Historical data often comes in inconsistent formats. Mitigation: Pre-cleaning and mapping, use ETL scripts, incremental migration.
- User training: Teams accustomed to manual systems may resist change. Mitigation: Role-based training, manuals, support during the pilot phase.
- Configuration of complex financial products: Especially loans with irregular schedules, variable interest rates, and provisions. Mitigation: Detailed parameterization, testing with real-world scenarios, and validation with credit departments.
- Integration with other systems (SMS, accounting, mobile banking): Requires additional development. Mitigation: Use Mifos X REST APIs, specify technical requirements, and conduct sandbox testing.
Related Content
Mifos Core Modules - Transforming Microfinance Management
Mifos Integrations and Ecosystem
